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Do board characteristics affect corporate performance? Firm-level evidence for India

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  • Saibal Ghosh

Abstract

The study examines the association between financial performance and boards of non-financial firms. Using data on 127 listed manufacturing firms in India for 2003 the findings indicate that, after controlling for various firm-specific factors, larger boards tend to have a dampening influence on firm performance, judged in terms of either accounting or market-based measures of performance. In terms of policy implications, the analysis suggests that compensation of the CEO has a significant effect on the performance of the firm.

Suggested Citation

  • Saibal Ghosh, 2006. "Do board characteristics affect corporate performance? Firm-level evidence for India," Applied Economics Letters, Taylor & Francis Journals, vol. 13(7), pages 435-443.
    • Handle: RePEc:taf:apeclt:v:13:y:2006:i:7:p:435-443
    DOI: 10.1080/13504850500398617
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